Ferrosource is nearing completion of its state-of-the-art steel processing facility located directly on U. S. Steel’s Big River Steel Works (BRSW) campus in Osceola, Arkansas, with operations scheduled to begin August 2026. This strategic expansion creates a high-efficiency supply solution that effectively eliminates inbound freight costs, slashes transit times, and significantly reduces material handling for manufacturers and distributors across the central United States.
Located directly on the BRSW campus, the new Ferrosource Metal Processing (FMP) facility will offer a unique zero-inbound-freight processing model, allowing customers to source mill-produced steel and value-added processing in one integrated location. By eliminating inbound freight to an off-site processor, customers can reduce total delivered cost, simplify logistics, and improve speed to market. FMP offers customers a multi-modal outbound logistics platform with direct access to truck, rail, and barge transportation. The adjacent Mississippi River system provides low-cost barge access to customers throughout the Midwest and central United States via the Mississippi, Ohio, Missouri, Illinois, and Arkansas river networks.
FMP will complement current capacity and support the continued expansion at Big River Steel Works. The facility will be equipped to process and service new products coming online at BRSW, including Galvanized, Galvalume®, Galvannealed, Pre-Painted, and Cold Rolled Steel.
For steel consumers, the mill-campus model creates a more efficient path from melt to finished coil processing — reducing material touches, compressing lead times, and improving supply chain reliability.
FMP will serve manufacturers directly across a broad range of end-use markets, including construction, agriculture, HVAC, appliance, metal building, and other downstream markets.
“We have seen tremendous market interest in this model — zero inbound freight, on-campus processing, and multi-modal outbound logistics at one of the most advanced steel mills in the world,” said Kevin Udolph, Vice President, Commercial and Business Development, Ferrosource. “By locating processing directly at Big River Steel, we can offer manufacturers a fundamentally more efficient supply chain: lower logistics costs, faster turnaround, fewer material touches, and access to responsibly produced steel. This facility is designed to strengthen the competitive position of steel-consuming manufacturers across the heart of the country.”
Udolph added, “We would also like to thank the Arkansas Economic Development Commission and Mississippi County for their support during the development of this project.”
“Ferrosource is a key on-campus partner for Big River Steel,” said Dan Brown, Executive Vice President, Advanced Technology Steelmaking and Chief Operating Officer, Big River Steel. “Having a dedicated steel processor operational this summer gives our customers immediate access to value-added processing alongside our mill capacity. Ferrosource’s on-campus model exemplifies the integrated supply chain we are building at the BRS campus.”
“Arkansas’ manufacturing industry is taking off, and Mississippi County steel is driving that growth forward,” said Governor Sanders. “We’re proud to welcome Ferrosource’s new investment in the nation’s largest steel-producing county. We’re cutting taxes and growing our skilled workforce to help Arkansas manufacturing continue to lead the nation.”
Ferrosource worked closely with Big River Steel, the State of Arkansas, the Arkansas Economic Development Commission, and Mississippi County during this economic development project. The investment of more than $70 million is expected to support more than 40 direct full-time jobs at steady-state operation and more than 100 total jobs in Arkansas, including indirect and induced employment in the region.
The project is supported by federal and state economic development programs focused on rural investment, including anticipated New Markets Tax Credit financing.
“Steel production in Arkansas is red hot. Steel companies are succeeding here because of our infrastructure and central location, favorable public policy and industry support, and our skilled workforce,” said Clint O’Neal, Executive Director of the Arkansas Economic Development Commission. “We are proud to welcome Ferrosource to the Natural State. Congratulations to Ferrosource and Big River Steel on their partnership, and congratulations to Mississippi County on yet another economic development win in the steel industry.”
Ferrosource expects the new facility to serve a wide range of end-use markets by combining mill proximity, processing capability, and supply-chain efficiency into a single customer-focused platform.